Parcel Insurance Plan

What Parcel Insurance Plan does

Parcel Insurance Plan (PIP) is a third-party shipping insurance provider founded in 1966 and headquartered in St. Louis, Missouri. The company issues insurance policies that cover packages lost or damaged in transit through UPS, FedEx, USPS, DHL, and other small parcel or freight carriers, with international coverage spanning all countries except Russia. PIP serves thousands of business shippers across hundreds of industries, qualifying customers that ship package values over $500 per day or spend at least $1,000 annually on declared value charges with carriers. Operating as a DBA of Parcel Insurance Agency in California (license #0D85835) and New York (license #981276), the firm is privately held with no disclosed institutional ownership or parent company.

The product is a single, unified shipping-insurance policy rather than a platform-plus-modules offering. Underwriting and claims-paying ability are entirely backed by Arch Insurance Company, which carries an A+ (Superior) rating from A.M. Best. Operational technology centers on integration with major shipping manifest software (UPS WorldShip, FedEx ShipManager, Endicia, Stamps.com) for automated monthly reporting and claims submission, plus a dedicated online claims portal (pip-claim.com) with a separate workflow for USPS shipments. The company carries BBB accreditation and offers claims settlement within 7-10 business days of receiving required documentation.

PIP generates revenue through recurring monthly insurance premiums collected from business customers, with quote-based pricing tied to shipment volume, average package value, and highest insured value per package; no long-term contracts are required. Go-to-market combines a direct website quote-request flow, content marketing on shipping risk and loss prevention, and a state-by-state broker network (with named representatives such as Evelyn Teason, Brenda Norman, and Lisa Lash) for policy servicing and premium remittance. Distribution covers the United States and Canada, with no disclosed funding history, M&A activity, or recent leadership changes.

Name

Parcel Insurance Plan

Legal name

Parcel Insurance Plan

Website

https://www.pipinsure.com/

Company type

Private

Founded year

1996

Operating status

Operating

Headcount range

11–50 employees

Short description

Parcel Insurance Plan (PIP), founded in 1966 in St. Louis, provides third-party shipping insurance to business shippers using UPS, FedEx, USPS, and DHL. Policies are underwritten by Arch Insurance Company (A+ A.M. Best) and priced monthly by shipment volume.

Ownership category

akta.pro rank

Product category

Commercial Shipping Insurance

NAICS

Agencies, Brokerages, and Other Insurance Related Activities (5242), Insurance Agencies and Brokerages (524210)

SIC

Fire, Marine & Casualty Insurance (6331), Insurance Agents, Brokers & Service (6411)

akta.pro primary industry

Cargo Insurance Placement & Policy Administration (All-Risk, ICC A/B/C) (TLACAHAG)

Keywords

• Shipping insurance
• Parcel insurance
• Transit coverage
• Package protection
• Freight insurance

Headquarters

HQ city

St Louis

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Personnel, Marketing or Sales, Technology or R&D, Others

Revenue model

1. Third-Party Shipping Insurance Premiums: Parcel Insurance Plan generates revenue by collecting insurance premiums from businesses that ship packages. The company offers an alternative to carrier-provided declared value, charging rates that are typically lower than carrier insurance while providing more comprehensive coverage. Premiums are paid monthly (billing cadence implied by monthly report submission process). Revenue is volume-based, scaling with the number and value of insured packages shipped by customers.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels4 records

Core offering

Parcel Insurance Plan provides third-party shipping insurance that covers packages lost or damaged while in transit via UPS, FedEx, USPS, DHL, and other small parcel or freight carriers. Policies are underwritten by Arch Insurance Company (rated A+ by A.M. Best) and are sold primarily to businesses shipping over $500 in value per day or spending $1,000+ annually on declared value charges. Coverage includes international shipments with no country restrictions except Russia, and extends to items typically excluded by carriers such as electronics, cell phones, and jewelry.

Product overview

Parcel Insurance Plan (PIP) is a single, unified third-party shipping insurance product offering comprehensive coverage for lost or damaged packages during transit. The service covers shipments via UPS, FedEx, USPS, and other freight or small parcel carriers. All policies are underwritten by Arch Insurance Company rated A+ by A.M. Best. PIP is not a platform-plus-modules architecture; it operates as one core insurance product with supporting online claim filing tools.

Differentiator

Problem solved

Functional benefit

Products and services

• Parcel Insurance Plan (PIP) Shipping Insurance Third-party shipping insurance providing coverage for packages lost or damaged during transit via UPS, FedEx, USPS, DHL, and other small parcel or freight carriers. Includes international coverage with no country restrictions except Russia, and covers items typically excluded by carriers (electronics, cell phones, jewelry). Sold to businesses shipping over $500 in value per day or $1,000+ annually on declared value charges. Policies are underwritten by Arch Insurance Company (A+ by A.M. Best), with claims paid within 7–10 business days and no contracts or long-term commitments required.

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Scale indicators3 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• PackageValue Insurance: PackageValue is a niche third-party parcel insurance provider focused on e-commerce and volume shippers, directly comparable to PIP in target customer, carrier coverage, and quote-based pricing model.
• InsureShip: InsureShip provides third-party parcel insurance with instant online binding and API integrations for e-commerce platforms, directly competing with PIP for the same volume-shipper customer base with a more digital-first motion.
• Shipsurance: Shipsurance is a direct competitor offering third-party parcel insurance to business shippers via UPS, FedEx, USPS and DHL, with similar online claims and quote-based pricing — directly comparable to PIP's core offering.
• U-PIC Insurance Services: U-PIC is a direct competitor providing low-cost third-party shipping insurance for small-parcel and freight shippers, competing head-to-head with PIP on price, multi-carrier coverage, and online claims processing.

Emerging players

• Reserve Insurance Group: Reserve Insurance provides specialized parcel and shipping insurance products to small and mid-sized shippers, overlapping with PIP's customer base but with a narrower product footprint.
• ShippingEasy: ShippingEasy is a shipping and logistics platform with carrier integrations comparable to PIP's manifest-software partners; it competes for the same SMB-shipper wallet and could expand into insurance-adjacent services.

Broad incumbents

• Berkshire Hathaway Specialty Insurance: BHSI is a Berkshire Hathaway insurance carrier that writes specialty lines including cargo and transit; PIP's website links to bbinsurance.com, suggesting potential affiliation within the Berkshire insurance ecosystem, making it a structurally relevant peer/partner.
• UPS Capital: UPS Capital is the carrier-affiliated insurance and financial services arm of UPS, offering parcel insurance, cargo coverage, and financing — the incumbent against which PIP most directly competes on convenience and integration.
• FedEx Custom Critical Insurance Services: FedEx's in-house parcel insurance and declared-value offering is the carrier-side incumbent alternative to PIP, with similar coverage scope but slower claims and broader item exclusions per PIP's positioning.

Others

• Arch Insurance Company: Arch Insurance Company is PIP's exclusive underwriting partner providing A+ rated capacity for all PIP policies — a key enabling partner rather than direct competitor, but central to PIP's product economics.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• Xx.com/parcelinsurance
• YouTubeyoutube.com/watch?v=agoU6OfIoPI
• Facebookfacebook.com/parcel-insurance-plan-263139156942
• LinkedInlinkedin.com/company/parcel-insurance-plan

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Parcel Insurance Plan